Baptiste Morin, edited by Romain Rouillard
In his interview with the 1:00 p.m. television news on TF1 and France 2 on Wednesday, President Emmanuel Macron denounced the buyout by certain large companies of their own shares, made possible by the colossal profits they reap. And therefore proposed that employees can have their share of the cake.
It is a well-known practice in the United States that Emmanuel Macron denounced on Wednesday. Questioned by Marie-Sophie Lacarrau and Julian Bugier in the television news of TF1 and France 2, the Head of State mentioned the purchase by certain large companies of their own shares. A maneuver made possible by the comfortable profits earned by these companies and which makes it possible to reduce the number of securities in circulation, thus increasing their stock market prices.
5 billion euros in share buybacks at BNP Paribas
A widespread practice across the Atlantic and which is attracting more and more French clubs. In 2022, CAC 40 companies bought back nearly 24 billion euros in shares. Among the companies targeted by Emmanuel Macron, we can mention LVMH which announced 1.5 billion euros in share buybacks, TotalEnergies and its 2 billion or even BNP Paribas whose buyback value reached nearly 5 billion euros. euros.
Emmanuel Macron spoke of an “exceptional contribution” and it is now up to the government to work on its implementation. In the United States, a 1% tax is applied and intends to encourage investment. However, its effectiveness remains to be demonstrated and might therefore be reassessed at 4% on January 1, 2024.
